MainStay Mutual Fund Volatility

Moving together with MainStay Mutual Fund

MainStay Conservative Market Sensitivity And Downside Risk

MainStay Conservative ETF exhibits very low volatility with skewness of 0.03 and kurtosis of -0.28. However, we advise investors to further study MainStay Conservative ETF technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure MainStay Conservative's mutual fund risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact MainStay Conservative's mutual fund price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall. 3 Months Beta |Analyze MainStay Conservative ETF Demand TrendCheck current 90 days MainStay Conservative correlation with market (NYSE Composite)

MainStay Beta

0.56

Standard Deviation

0.43

MainStay Conservative ETF Mutual Fund Volatility Analysis

MainStay Conservative Projected Return Density Against Market

Assuming the 90 days horizon MainStay Conservative has a beta of 0.5632 . This indicates as returns on the market go up, MainStay Conservative average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding MainStay Conservative ETF will be expected to be much smaller as well. The company has a negative alpha, implying that the risk taken by holding this instrument is not justified. MainStay Conservative ETF is significantly underperforming NYSE Composite. MainStay Conservative's volatility is measured either by using standard deviation or beta. Standard deviation will reflect the average amount of how mainstay mutual fund's price will differ from the mean after some time.To get its calculation, you should first determine the mean price during the specified period then subtract that from each price point.

What Drives a MainStay Conservative Price Volatility?

Several factors can influence a fund's market volatility:

Industry

Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.

Political and Economic environment

When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.

The Company's Performance

Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.

MainStay Conservative Mutual Fund Risk Measures

MainStay Conservative Mutual Fund Return Volatility

MainStay Conservative historical daily return volatility represents how much of MainStay Conservative fund's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund shows 0.4284% volatility of returns over 90 . By contrast, NYSE Composite accepts 0.6192% volatility on return distribution over the 90 days horizon.

Volatility is a rate at which the price of MainStay Conservative or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of MainStay Conservative may increase or decrease. In other words, similar to MainStay's beta indicator, it measures the risk of MainStay Conservative and helps estimate the fluctuations that may happen in a short period of time. So if prices of MainStay Conservative fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.

The analysis of MainStay Conservative's secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in MainStay Conservative's investment and either accepting that risk or mitigating it. Along with some common measures of MainStay Conservative mutual fund's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.

Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential mutual funds, we recommend comparing similar funds with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.

The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against MainStay Conservative as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. MainStay Conservative's systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, MainStay Conservative's unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to MainStay Conservative ETF.

Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in MainStay Conservative ETF. Also, note that the market value of any Mutual Fund could be tightly coupled with the direction of predictive economic indicators such as signals in nation. Note that the MainStay Conservative ETF information on this page should be used as a complementary analysis to other MainStay Conservative's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..

When running MainStay Conservative's price analysis, check to measure MainStay Conservative's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy MainStay Conservative is operating at the current time. Most of MainStay Conservative's value examination focuses on studying past and present price action to predict the probability of MainStay Conservative's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move MainStay Conservative's price. Additionally, you may evaluate how the addition of MainStay Conservative to your portfolios can decrease your overall portfolio volatility.